Lawyers for a Georgian billionaire accused Credit Suisse of money laundering as they step up their fight with the bank over its handling of a former wealth manager who allegedly made unauthorized transactions to cover up trading losses.
Bloomberg News reports that Bidzina Ivanishvili’s lawyers filed the criminal complaint with Geneva prosecutors Tuesday, alleging that the bank failed to install adequate procedures to prevent money laundering, allowing employees to act with complete freedom. The complaint is based on hearings, a review of the evidence as well as information received from MROS, Switzerland’s Money-Laundering Reporting Office, the lawyers wrote.
In the meantime, Bloomberg also reports that Deutsche Bank shares dropped as much as 5.5% after co-Chief Executive Officer John Cryan said he doesn’t expect the lender to report a profit this year.
“We’ve said this year is not going to be a profitable year, we may make a small profit, we may make a small loss, we don’t know,” Cryan said at a conference in London on Wednesday. “There’s a lot of stuff we have to get done this year, so this year we’re not going to be profitable.”